Peter Brooke discusses the economic situation in China and addresses the comparison between China's current state and Japan's past economic challenges in the 1990s. While some aspects of the "China is Japan" narrative hold true, there are significant differences and opportunities in China's situation. An International Monetary Fund (IMF) paper published this month, attempts to unpack the assets China holds to offset its huge debt burden of nearly 300% of GDP. They estimate that China has the most assets in the world, with an estimated US$12.5 trillion worth of assets. As a result, China has nearly 30% of government financial assets around the world.
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